Survivor Benefits
Are you prepared for the unthinkable? Even in an ideal world, things can happen that will have a devastating impact on your family. It could be a car accident, heart attack or sudden illness. You cannot prepare for the emotional impact these events can have, but with the help of the Federal Government Employee Life Insurance, you can prepare for your family’s financial future.
Federal Employee Retirement System (FERS) employees have three options available for survivor benefits.
| Option A: | 50% of the pension annuity goes to the spouse. You need to pay 10% of your pension per month to get this benefit. |
| Option B: | 25% of the annuity goes to the spouse. You need to pay 5% of your pension per month to get this benefit. |
| Option C: | 0% of the benefit goes to the spouse. No survivor benefit, which means they are dropped from your health plan upon your death – however, you don’t have to pay any fees. |
Civil Service Retirement System (CSRS) employees have three similar options available for survivor benefits.
| Option A: | 55% of the retiree’s FULL annuity to the spouse. You need to pay 2.5% of first $3,600 of the monthly payout. You need to pay 10% on everything above that $3,600. |
| Option B: | 55% of any selected amount of the annuity to the spouse. You need to pay 2.5% of first $3,600 of the monthly payout. You need to pay 10% on everything above that $3,600. |
| Option C: | No survivor benefit. |